Handle

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Definition of 'Handle'

A handle refers to the integer or whole part of a quoted price and ignores the decimal or fractional part of a price. This is sometimes also referred to as the dollar price or the stem.

When trading something like the S&P500 equity index future a trader might say that he made 4 handles in the trade. This means that he made 4 points. Compare this to a tick which is smallest unit of change in the future being traded. For the big S&P500 this is 0.1 points so that would be 10 ticks in a point or handle. So the trader would have made 40 ticks if he had made 4 handles.

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